The Bridge to an American Career
At the heart of this issue is the Optional Practical Training (OPT) program. For international students on an F-1 visa, OPT is the primary pathway to gain real-world work experience in the United States after graduation. It acts as a crucial bridge between
completing a degree and starting a career. The program allows graduates to work for up to 12 months in a job related to their field of study. For those in Science, Technology, Engineering, and Mathematics (STEM) fields—a group that includes a large number of Indian students—this period can be extended by an additional 24 months, for a total of three years of work authorisation. This hands-on experience is not just a bonus; it's a core part of the return on investment for the high cost of a US education and is often seen as a potential stepping stone to longer-term work visas like the H-1B.
A Staggering New Price Tag
According to multiple reports in late July 2026, the Trump administration is considering a proposal to levy a $100,000 fee on international students seeking to use the OPT program. While officials at the Department of Homeland Security (DHS) have stated that no policy is final until it is formally announced, they have not denied that the idea is under discussion. It remains unclear whether this substantial fee would be paid by the student, their university, or their employer. This news has sent shockwaves through higher education and business circles, with many warning it could financially derail the logic of pursuing an American degree for hundreds of thousands of students. The proposal comes on the heels of other moves to tighten immigration pathways, creating a climate of uncertainty for prospective students.
The Impact on Indian Students
For Indian families, the numbers are daunting. The total first-year cost for an Indian student in the US can already range between $40,000 and $90,000 when factoring in tuition, living expenses, and insurance. Adding a potential $100,000 fee for the chance to work after graduation dramatically alters the financial risk. Indian students constitute a significant portion of the international student body in the US and are the largest group participating in the STEM OPT extension, making them particularly vulnerable to such a policy shift. Many students and their families take on substantial loans to fund their education, banking on the post-graduation work experience offered by OPT to gain a career foothold and manage their debt. A fee of this magnitude could make that gamble untenable, forcing many to question if the American dream has become too expensive.
A Shifting Global Landscape
This potential policy change is not happening in a vacuum. Other countries are actively competing for the same pool of talented international students. Nations like Canada, Germany, the UK, and Australia are increasingly seen as attractive alternatives, often offering lower tuition costs, more straightforward post-study work visa policies, and clearer paths to residency. Germany, for example, attracts students with its tuition-free public universities, while Canada is known for its immigration-friendly policies, including a Post-Graduation Work Permit (PGWP) that allows for up to three years of work. Higher education groups in the US have warned that a prohibitive OPT fee would make American universities far less competitive, potentially diverting a critical pipeline of talent to these other nations.
